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How AI is Transforming Online Advertising

Artificial Intelligence and other forms of machine learning services have been taking the business world by storm lately. Almost every business is taking advantage of it in some way, especially in online advertising. AI has already made a variety of positions almost obsolete, for example, chatbot AI helps companies significantly cut down customer service costs, and lets their customer service professionals deal with problems more complicated than “Turn it off and on again.”

It wouldn’t be an overstatement to say the AI revolution might bring us the next industrial revolution, but how does it impact the world of online advertising?

Email Personalization

AI can be used in order to help your emails feel more personal. Personalization has been shown to increase conversion rates up to 171%. This might come as a surprise but think about it. Are you more likely to read a bog-standard sales pitch, or will you read an email starting with your title, name, and something that actually interests you?

Sure, a small business can afford to personalize their mail by hand, however, a large, or even medium corporation will find this to be a nigh-impossible task. Because of this, many companies opt to either not personalize their mail, or automate it to just start with the recipient’s name.

AI can take you much further than this. Rather than just their name, AI can use data to incorporate your subject’s occupation, interests, and even mutual contacts into the mix. Furthermore, it can calculate how likely your recipient is to read the email based on metrics such as when they’re usually online, and when they usually open their mail.

Ideal Timing And Follow-Ups

Through consumer behavior analysis, AI can learn when your subject is most likely to read through their mail. Someone that works a 9-5 job won’t be reading their mail at 2 PM. However, they’re much more likely to do that at 8 PM.

All of the nuances that go into these habits can’t be tracked by hand no matter how much time you put in, however, AI makes it a trivial endeavor. It can even know not only when they do a cursory check of their mail, but also the time at which they open most of it.

Next off, almost 10% of leads are not followed up. This is because sales teams are, per their nature, made up of flawed people. This can happen because they aren’t sure if they should follow up, because the mail got lost in bureaucracy, or maybe they simply forgot. AI doesn’t have such issues and instead will send a follow-up email at the right time.

How AI Revolutionizes Social Media Advertising

Social media marketing is one of the most effective ways to market your products and has been a crucial component of most successful digital marketing campaigns since the advent of MySpace. Your brand needs to be present on social media, as well as cohesive across different platforms to pull the greatest audience.

AI Helps Brand Cohesion

When you’ve got to market to a lot of different platforms with varied user bases, it can be difficult for your brand to maintain a cohesive image. After all, the people you’re targeting with your Netflix ads are going to be different from your TikTok marketing target group.

AI helps you ensure that this difference is minimized and that your ads are targeting the correct audience. Most brands that don’t use AI opt for either using similar ads on most platforms or foregoing brand cohesion to appeal to the audience. AI helps you avoid both of these pitfalls by helping you make ads that are both in line with your company image and still target the right audience.

AI Helps Localize Your Ads

Businesses of all sizes are bound to, at some point, localize some of their ad campaigns according to audiences from different cultures. While some opt to do surveys, they are usually quite time-inefficient and can lead to a lot of bias in the data.

AI can look at people on a much larger scale, quickly helping you optimize your ads according to the location that you’re targeting. This is especially true for calls to action. As a good CTA is extremely important for your marketing success, having one that turns away a portion of your audience can be a dealbreaker. AI is capable of narrowing down the options for a successful CTA.

Its usefulness grows even more for businesses that are opening at a new location with pre-existing competition. If you aren’t quick to find out what the customers in that location want, your endeavors will likely fail. AI is excellent at tracking minor factors and nuances within a location’s culture, even those that a human marketer might not spot, or might overlook at first glance.

AI Can Write Small Ads & Social Media Copy

Although this is a field still in its infancy, AI is able to successfully and effectively write small pieces of content that converts. This means product descriptions, short ads, and even some hashtag-riddled social media content. JP Morgan reported that in one of their campaigns, AI-written copy had a 450% increase in CTR over copy written by a human.

For example, let’s look at an experiment that compares two short slogans, one of which was AI-made.

  • Access cash from the equity in your home. Take a look.
  • It’s true–You can unlock cash from the equity in your home. Click to apply.

The second slogan was entirely written by the company AI. While A/B testing, the company found that the AI-written slogan led to almost twice as many conversions. This also led to the JP Morgan company employing more AI in writing their ads.

AI can do this with more than short slogans. Many Amazon and Shopify descriptions are AI-written, as well as some company social media posts. This is doubly true for Instagram, where correct hashtag use is something an AI can optimize very well.

This is because AI has a great capacity for finding trends in your user’s behavior, it finds the right time to post the content, and it can quickly optimize it according to your user’s location and interests.

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